SARCO Subsidiary Signs MoU With UK’s AGR For 100% Offtake Of Green Ammonia Project In Saudi Arabia

Saudi Arabian Refineries Company (SARCO) has announced a new development in its clean energy plans. The company said that its wholly owned subsidiary, Clean Energy Company, has signed a non-binding memorandum of understanding (MoU) with AGR, a renewable energy firm based in the United Kingdom. The agreement focuses on the offtake of green ammonia from a proposed production facility in Saudi Arabia.

According to a statement shared with the stock exchange, AGR has expressed its intention to purchase 100 percent of the green ammonia output from the planned plant. The facility is expected to be located in Jazan Industrial City, which is emerging as an important industrial and energy hub in the Kingdom. The proposed project reflects Saudi Arabia’s growing interest in expanding its footprint in the global green hydrogen and green ammonia markets.

The MoU is non-binding, meaning that it outlines the intention of both parties to cooperate, but it does not create final legal obligations at this stage. The agreement will take effect from the date it is signed and will remain valid for six calendar months. However, both companies have the option to extend or amend the agreement through mutual written consent if needed.

This latest move follows an earlier announcement made by SARCO in October 2025. At that time, the company revealed that it had signed another MoU with the UAE-based GO Energy Company to establish a green ammonia production plant in the Kingdom. The new offtake understanding with AGR appears to build on those earlier plans, indicating progress toward securing potential buyers for the project’s output.

Green ammonia is considered an important clean fuel and energy carrier, produced using renewable energy sources. It plays a key role in reducing carbon emissions in industries such as shipping, power generation, and fertilizers. By working with international partners like AGR and GO Energy, SARCO is positioning itself to participate in the growing global demand for low-carbon fuels.

The agreement highlights increasing cross-border collaboration in the renewable energy sector and underlines Saudi Arabia’s ambition to become a major producer and exporter of green fuels in the coming years.